At the End of the Current Year,the Accountant for Colorful

question 52

Multiple Choice

At the end of the current year,the accountant for Colorful Graphics,Inc.forgot to make an adjusting entry to accrue Wages Payable to the company's employees for the last week in December.The wages will be paid to the employees in January.Which of the following is an effect of this error?

• A)Net income is overstated.
• B)Liabilities are overstated.
• C)Net income is understated.
• D)Expenses are overstated.

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Definitions:

Personal Meetings

Face-to-face engagements between two or more individuals with the purpose of discussing topics or issues of mutual interest.

Appreciation

Recognition and enjoyment of the good qualities of someone or something, often leading to increased value.

Transparent Leader

A leadership style characterized by openness, communication, and accountability, making actions and decisions clear to others.

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The social or financial position of an individual or group within a society, often measured by income, wealth, or occupation.